Trust Deed (Scotland) Any advice?

adouglasmhor

I have been through a trust deed - It's not as bad as you may think, hope RBS either don't object or don't get their objection in on time.

Bankrupcy in Scotland is called sequestration but you still deal with the accountant in bankrupcy

hunny

Hi,
This is my 1st post here, I thought I could add a little of my experience of my Trust Deed.

I am now half way through my TD and although ideally I would have liked to have paid back the full amount I owed, at the time this was the only way out of my debt problems. I never realised I could have gone to CAB about my debts and I had never heard of payplan or the CCCS at the time. I have now!

I found it very tough going to begin with, leaarning to live within my means again and not having to rely on credit cards. Now I am glad to say I can manage both. I pay everything with cash and although I have a Visa electron with my basic bank account I very rarely use it, Paying by cash I know how much I am spending and I can see it dwindling away.

I found that within the time I signed my TD and it being protected then for about 6-8 weeks after I was still getting phone calls and letters from my creditors, when this happened I told them on the phone I had a protected Trust Deed or passed the letters onto my IP and they dealt with it for me.

I had 2 creditors but with through a mix of loans, credit cards and a bank overdraft. One of which was RBS and I had no objections from them at all.

I hope everything goes ok and your TD gets protected.

Hunny

paddypuma

I'm in the process of setting up a trust deed after being on a DMP for the last 3 years. I really don't know why I didn't do it sooner. I've just been paying the DMP every month and not even making a dent in my debt. For some reason, my debt is actually more than what I started with. All the interest and late payment charges added on. It was quite a shock and pretty upsetting when I found out that I hadn't even made headways into paying it off.

Anyway, my DMP company forwarded my details to an Insolvancy Practitioner here in Edinburgh and they've advised me that I need to change bank accounts before they can sign me up to the deed. So, I applied for a basic account though HSBC and have been accepted. Now all I have to do is wait and see what happens next.

If what i've read is correct, within 3 years, I should be released from the trust deed. However, i'm not entirely sure what happens afterwards. If any of those that have completed a trust deed can let me know what happens at the end of the three years, that would be great!

Good luck to you sarah!

hunny

paddypuma wrote: »

Anyway, my DMP company forwarded my details to an Insolvancy Practitioner here in Edinburgh and they've advised me that I need to change bank accounts before they can sign me up to the deed. So, I applied for a basic account though HSBC and have been accepted. Now all I have to do is wait and see what happens next.

If what i've read is correct, within 3 years, I should be released from the trust deed. However, i'm not entirely sure what happens afterwards. If any of those that have completed a trust deed can let me know what happens at the end of the three years, that would be great!

Hi Paddypuma

I'm glad to hear you have got a Basic bank account sorted out. I am also in Edinburgh and in the middle of my Trust Deed just now. Which IP have you been reffered to in Edinburgh?

In answer to your question. I think the Trust Deed will be on your Credit record for 6 years from the date it is signed. Although after 3 years it will be listed as satisfied. From hearing other people's experiences this sometimes can take several months to appear on the reports once you have finished your payments.

Good Luck

Hunny

sarah0404

Hi Hunny, thanks for posting your experiences. Its really helpful to hear from others who are going through the same thing. I've found my new budget really useful. I now know exactly how much I have to spend on food etc. I've become a bit of a geek with all my spreadsheets and things! I will be using cash too as I don't even have a bank account any more!!! My partner set up the new basic account online, and when he went to the branch to try and get me added to it they said I needed photographic ID - passport or driving licence - which I don't have. Then they said they'd accept a birth certificate and two bills from my address. But none of the bills are in my name. So basically I don't exisist and can't have a bank account!!!!

The only thing I'm worried about is big expenses. They haven't allowed any money for savings for Christmas and birthdays, or home maintenence, emergencies or anything like that. Luckily we have a rented house and it is the landlords job to fix the roof or boiler or anything major. But what if my fridge breaks or something? I'm not going to have the money to replace it. And how am I supposed to pay for Christmas for the next 3 years? I've re-written my budget, so that I'm spending less than they recommend on food and clothes, just so I can try and have some extra money put by for Christmas time or emergencies. But its still a bit of a worry.

As for the basic bank account, the solicitor said that sometimes it can be frozen once they find out you are entering into a trust deed - even if its with a bank you have no debts with. He said to phone him straight away and he could get it un-frozen again. He said it usually takes a couple of days, so make sure you have a small amount of cash in the house in case you need to top up your electricity meter etc.

After the trust deed, I read that it stays on your record for 6 years. But most people seem to be able to get a mortgage or credit cards again once they are finished paying the trust deed. (who'd want to get credit ever again though!!!!)